McGuinty faces major challenges: Star editorial

The Ontario Legislature resumes sitting today after a three-month recess. In the coming days, its order paper will be filled with earnest legislation like amendments to the Mining Act (to give First Nations more of a say in prospecting and mining on their traditional lands), a measure to limit toxic emissions by industries, and a ban on the use of hand-held cellphones by motorists.

There will also be an economic statement, likely in November, with some short-term fixes for the ailing provincial economy.

And in the daily question period in the Legislature, Premier Dalton McGuinty's government will come under attack for not doing enough to address the economic slump.

But McGuinty should be able to withstand the barrage, given the weakened state of the opposition, with one lame-duck leader (the NDP's Howard Hampton, who is stepping down next year) and the other on probation (the PC's John Tory, who was given a tepid endorsement by his party earlier this year).

Behind the scenes, however, McGuinty will be wrestling with two enormous decisions that will shape the province's future.

The first is whether to keep the budget balanced or to let it slide into deficit if, as expected, the current economic slump continues and significantly erodes the provincial revenue base.

The second is what kind of reactor to choose to replace the aging nuclear power plants at Pickering and Darlington.

On the deficit, even bank economists have said that, given the circumstances, it ought to be under consideration. But so far McGuinty has stuck doggedly to the goal of a balanced budget.

"Obviously if we anticipate that our revenues are going to slow down, as I've said many times in the past, we're going to have to do in government what families do at home," said McGuinty last week. "You've got to make some adjustments and you've got to make sure you're focusing on your priorities."

Thus, with one eye on the fiscal storm clouds, McGuinty has sought to dampen expectations of government assistance. He told municipalities last month not to expect instant relief from the downloading of provincial services onto their plates. And last week he suggested the timetable for his promise to reduce poverty will have to be stretched out.

So no new spending initiatives. But even existing spending – on schools, hospitals, roads, transit, courts, jails and so on – will come under pressure if the recession deepens and the treasury is further squeezed. It remains to be seen whether McGuinty's commitment to a balanced budget is sustainable in that circumstance.

As for the decision on a new nuclear reactor, in hot competition for the multi-billion-dollar contract are: Atomic Energy of Canada Ltd. (AECL), the homegrown company whose design is now in place in the province's power plants; French-owned Areva; and U.S.-based Westinghouse.

The McGuinty government would like to give the nod to AECL, which is owned by the federal government. But Ontario wants Ottawa to back up any sale with guarantees to cover cost overruns. So far, those guarantees have not been forthcoming, as Stephen Harper's government has wrestled with its own decision whether to keep AECL or sell it.

Both these decisions are due to be made next spring (the deficit in the annual provincial budget, the reactor likely in a separate announcement). The behind-the-scenes struggles that precede the decisions will be more ferocious – and hugely more significant – than the daily battles on the floor of the Legislature between the government and the opposition parties.

Comments

Major Challenge is getting rid of McGuinty

At what point will Ontarions ever get choices for good government? The current system is only about getting votes and not doing anything that benefits us. Mr. McGuinty was a reckless promiser in opposition and his party had even tried to get rid of him. He has been elected by playing the game (twice now) with no real strategic plan. You got wonder at a guy who now wants to use a web based petition when many such as tax payers association, support for parents of autistic children and even the small business association have used similar tactics with him with absolutely zero positive results. Can you say PR?

Posted by Ignorance is Bliss

don't bite the hand...

McGuinty never thought about how he's going to pay for all his massive increases in civil servants and their salaries. A strong public sector always requires a strong private sector. Someone has to pay the bills.

Posted by scamper

Grow up and govern

Have you received your property assessment yet? Lets see some real leadership and halt this annual insanity courtesy of MPAC. Mr. McGuinty road the coattails of fear in the '07 election on the religious schooling issue. It was a non starter. Mr. Tory could have OVERNIGHT turned this entire platform 180 degrees by promising a total revamp of this insane, bully pulpit tax grab. He didn't. Where were the NDP and Howard Hampton? If they raised this issue , they allowed it to be muted. The middle class is being fleeced and all the while wooed with empty promises in this campaign. WAKE UP

Posted by Steve Canyon

Really?

Sure, lets bring more competition to the provision of hydro power. Remember when Mr. Eaves let the rates for electricity float after full deregulation, and everyone hand to pay market price? The government had to step in again to prevent the public outcry from becoming riots in the streets. If we are already so incensed by the collusion of the oil conglomerates, how will it be when the electricity generators and distributors do the same thing? But by all means, Mr. Jones, lets have more competition.

Posted by sobersecondthought

Econimic denials and foolishness

McGullible was too busy boasting of irrelevant issues like banning smoking and pitbulls - the real easy stuff - how proactive. Mr Flaherty urged McG to start cutting taxes across the board, including the health tax. Instead, McG sulked and felt he was victimised - now, Ontario is in a recession and all he can do is give the doctors a big raise and shuffle the cabinet - liberals are all alike - why face reality when you can blame your foolhardyness on someone else.

Posted by freebel

Cost Over Runs

Let's end the old boys club once and for all. Ontario is shy on competition: there's very very little in hydro and very very very very little in education. This results in complacency, lack of accountability, mediocrity, and inefficiency. As Bob Rae said, " We can do better" Ontario would thrive with an injection of competition into it's highly protected socialized public work force.

Posted by Templeton Jones


No Short Term Fixes

The crisis in manufacturing has been brewing for a long time. Expect to see many more small companies in Ontario close. In the globalized economy, consolidation is a critical trend. Mass is king. Our cpompanies are typically one tenth the size of American companies. Guess who closes first when the market contracts?

Posted by Herschell Hollywood

Uranium Producer Warns Of Lake Ontario Pollution

Cameco, the world’s largest uranium producer, has told the Canadian nuclear regulator that its refinery might have leaked uranium, arsenic and fluorides into Lake Ontario.

The plant at Port Hope, Ontario, across the lake from Rochester, New York, and down the shore from Toronto, first refined uranium for the Manhattan Project during World War II. It has been temporarily closed since July to remove contaminated soil.

A spokesman for Cameco, Lyle Krahn, said Wednesday that a computer model created for the cleanup, which is several months behind schedule, indicated that the radioactive and toxic materials have been polluting a harbor adjacent to the factory. The harbor leads directly to the lake.

The company notified the regulatory agency, the Canadian Nuclear Safety Commission, about the finding at a meeting last week and now plans drilling tests to confirm the contamination and to measure its extent.

“We’re anticipating that material may have been entering the harbor,” said Krahn, adding that Cameco did not know how long it would take to confirm any possible pollution.

A spokesman for the agency, Aurele Gervais, said: “The Port Hope UF6 plant matter has been ongoing for some time and the harbor issue is a recent development,” using the chemical formula for uranium hexafluoride.

In a background paper prepared for the agency’s commissioners last week, its staff concluded that the potential remained for continued water pollution from the plant.

Cameco in general and the aging Port Hope refinery, which transforms mined uranium into forms suitable for electrical power reactors, have long been targets of environmental groups and the regulatory agency.

After a flood last year closed one of the company’s mines, which produces about 10 percent of the world’s uranium, Linda J. Keen, then the head of the regulatory agency, said her commissioners and staff had a “lack of confidence” in Cameco and its management.

Gordon Edwards, the president of the Canadian Coalition for Nuclear Responsibility, an environmental group in Montreal, said that contamination of the lake had been assumed, given the plant’s age, history and location.

“There’s a long history of contamination at Port Hope,” he said. “The whole siting of this refinery is absurd. It’s right in the center of town, it’s on flood plain and right on the lakefront.”

The plant was opened in the 1930s by Eldorado Mining and Refining to process radium and has undergone several cleanups.

The most recent effort began in July when a construction project at the factory uncovered soil contamination that led to the plant’s closing. At the time, the company said that the shutdown and cleanup would take about two months. Krahn said the 18 million-Canadian-dollar project, which involves removing soil under the plant and constructing a leakproof floor, will be finished by the third quarter.

If drilling confirms lake pollution, Krahn said that Cameco did not expect that would delay the plant’s reopening.

Maybe this is why the Rothschild's have been screaming at EXXON MOBIL about the lack of investment of alternative energies?

The plot was to get uranium out of Ontario, just up the river from Port Hope!

The Mohawk's were right. Why should we all be turned into glow worms because Dalton McGuinty says so?

Hm wonder how old Dalton is sleeping tonight, anyway.

Told ya, Canada is to be the butthole of the entire world.
Bad place to make a real estate investment, folks!

Ontario First nation opposes uranium mining (important lesson !)

First nation opposes uranium mining

Posted By KEVIN McSHEFFREY

15 May 1007

Serpent River First Nation (SRFN) is opposed to uranium mining in the area.

SRFN Chief Isadore Day says at a community meeting on April 28, they reached a consensus opposing development.

He says about 60 SRFN residents attended the meeting out of its population of 340.

They have also been informing off-reserve band members.

"This was not a knee-jerk thing. This has taken place over quite some time."

However, Day says their opposition has less to do with Pele Mountain Resources, the junior mining company hoping to eventually open a uranium mine in Elliot Lake, and more with the slow movement of government regarding resources on traditional SRFN territory (the Serpent River watershed).

"It's not directed at Pele. This would be with any developer within the traditional territory.

"This is an issue between two nations, SRFN and the Crown."

At the heart, is SRFN has not had any input into, nor has it been consulted by the Crown when it came to mining in the past and now with exploration. That should be taken care of first. The regulations need to include First Nation consultations, says Day.

"There has to be an extraordinary level of participation at the outset of any exploration."

SRFN came up with the resolution because such projects are moving too fast with regards to the government and the private sector, but too slow when it comes to the Crown and First Nation.

"It poses real challenges between industry and First Nations when government moves slower in First Nation negotiations than it does when pushing through proponent approvals," Day says.

However, he admits that the government has many First Nations to deal with.

The resolution opposes any development, including cottage lots, forestry, quarries, hydro power and mining on traditional SRFN territory that has a negative impact on the "environment, social, economic and culture for its citizens and future generations."

Forestry is also a big concern, says Day.

The resolution opposes mining exploration in the traditional territory until revisions are made "to the Ontario Mining Act that would recognize the rights and responsibilities of First Nations in making decisions."

It also states any consultation or attempts to accommodate the First Nation during any development must take into consideration the Huron Robinson Treaty of 1850, and that the chiefs in the treaty's area need to be consulted.

Article ID# 1028417